Marketing strategy of Adidas Essay Example | Topics and Well Written Essays - 2500 words

Marketing strategy of Adidas - Essay Example The firm that is analyzed in the paper is Adidas, the largest sport manufacturer in Europe and has Puma and Nike as its major competitors. They have divided their whole range of products into two segments: Adidas Performance and Adidas Originals. Adidas performance aims to show the loyalty and devotion of the brand to athletes, while Adidas Originals are all about fashion and lifestyle. The definition stated by Philip Kotler is: â€Å"The science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit. Marketing identifies unfulfilled needs and desires. It defines, measures and quantifies the size of the identified market and profit potential. It pinpoints which segments the company is capable of serving best and it designs and promotes the appropriate products and services†. Adidas have been since its inception looking for opportunities in the market by constant market analysis. It has been seen that they have been the company of many firsts and therefore a company who has been creating a niche in many sectors. They introduced Adidas originals to target the market that did not wear the sportswear as they had no relation with sports but then Adidas cashed in on the opportunity by releasing a line of casual wears which would ultimately establish them in the non-sport sector as well. Main points from the definition: science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit.... The only new thing it has ventured into is the fashion and style apparel industry as well. It has done the promotion of its products by hiring clubs and sportsmen from different sports and countries to be their ambassadors.. As for their casuals line they have even hired sportsmen in this arena but used them to portray the use of Adidas besides the sports they play, in their routine lives. Task Two SWOT Analysis is a strategic planning method that is used by companies to identify their internal and external conditions in one go. Strength and weakness are utilized as internal analysis tools while the opportunity and threats are used for external analysis. The SWOT analysis for ADIDAS is as follows (Smit, 2000): Strength: Adidas is a very established brand. It has been in the market since 1949 producing the sportswear for the world to wear. Deliverance of the promise. Adidas is a premium brand that promises to offer the best quality and delivers the same. Brand Ambassadors. Adidas has a very long and powerful list of brand ambassadors that includes people from nearly all the sporting arenas. It has sponsorship for huge sporting events like NASCAR and the IPL recently held in India. It has also had major sponsorship for some of the famous Football events. Diversity in the product range. Excellent supplier relationships. They have never had any lawsuits in relation with child labor or poor working. Adidas has a very established network of distribution; their goods are sold worldwide. Weaknesses: They are very heavily reliant on the sports industry alone. This may prove to be a disadvantage at a point as they have to diversify into other sectors as well to increase their own portfolio and reduce risks. They are